External broker reports(aggregated public sources), CMB International

CMB International

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

External broker reports(aggregated public sources)

Equity Bottom-Up

Kingdee International Software / Equity Bottom-Up

<ul><li>Kingdee reported its 1H24 results: revenue was up 11.9% YoY (1H23: 16.8% YoY) to RMB2.87bn, 2% shy of Bloomberg consensus, which in our view can be attributed to a lengthened deal cycle and softer-than-expected growth amid macro headwinds (especially small and micro enterprises, whose YoY revenue growth slowed to 9% YoY in 1H24 from 19% in 1H23), while the net loss of RMB218mn implies a YoY reduction of 23% and was 20% narrower than consensus estimates, which demonstrated Kingdee’s determination to improve operating efficiency.</li><li>Core SaaS product Galaxy’s ARR growth momentum remained healthy with 24% YoY growth in subscription ARR in 1H24 (1H23: +29% YoY).</li><li>Meanwhile, large enterprise revenue growth of 38.9% YoY (1H23: 38.4%) remains solid, in our view. </li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Kingdee reported its 1H24 results: revenue was up 11.9% YoY (1H23: 16.8% YoY) to RMB2.87bn, 2% shy of Bloomberg consensus, which in our view can be attributed to a lengthened deal cycle and softer-than-expected growth amid macro headwinds (especially small and micro enterprises, whose YoY revenue growth slowed to 9% YoY in 1H24 from 19% in 1H23), while the net loss of RMB218mn implies a YoY reduction of 23% and was 20% narrower than consensus estimates, which demonstrated Kingdee’s determination to improve operating efficiency.Core SaaS product Galaxy’s ARR growth momentum remained healthy with 24% YoY growth in subscription ARR in 1H24 (1H23: +29% YoY).Meanwhile, large enterprise revenue growth of 38.9% YoY (1H23: 38.4%) remains solid, in our view. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Kingdee (268 HK) - Macro Headwinds Weighed on Growth; Loss Reduction on Track